Grease and dust with flour a 9 inch (23cm) bundt pan.
Prepare bread dough. In a large bowl mix flour with salt, garlic powder and cheese.
In a small bowl add sugar over the fresh yeast and stir until it liquifies. Add milk and stir to dissolve.
Add dissolved yeast, water, beaten egg and butter over the flour mixture. Stir to combine and knead until the dough is smooth and pulls away from the sides of the bowl. Cover with plastic wrap and let the dough rest for about 10 minutes.
On a floured surface divide dough in 4 pieces. Divide each piece in 10 smaller pieces and roll each piece into ball.
In a medium bowl mix melted butter with minced garlic and freshly ground black pepper.
In another bowl mix cheddar and parmesan cheese with parsley and chives.
Dip each ball of dough into the butter mixture and coat with cheese mixture.
Place balls of dough in the prepared bundt pan.
Cover the pan with a greased plastic wrap and let the dough rise for 30 minutes to 1 hr .
Meanwhile preheat oven to 350F (180C).
Bake for 25-30 minutes until dark golden brown on top.
Remove from the oven and let cool in the pan for 5-10 minutes.
Remove the bread from the pan and serve with your favorite dipping sauce.